A platform for research: civil engineering, architecture and urbanism
A platform for research: civil engineering, architecture and urbanism
Everybody needs good neighbors? Labor mobility costs, cities and matching
We develop an assignment model for a city with central and suburban labor markets connected by commuting. We show that not all workers benefit from the agglomeration economies created by the dense central business district. Low-skilled workers in the suburban district are worse off by being close to the dense central business district. High-skilled workers gain more from the urban scale. The existence of labor mobility costs induces only high-skilled workers in the suburbs to commute to the central business district, which results in a decrease in the local contact efficiency for the left-behind low-skilled workers. The empirical evidence from a Belgian linked employer-employee dataset confirms this novel finding. [web URL: http://www.sciencedirect.com/science/article/pii/S0166046215000770]
Everybody needs good neighbors? Labor mobility costs, cities and matching
We develop an assignment model for a city with central and suburban labor markets connected by commuting. We show that not all workers benefit from the agglomeration economies created by the dense central business district. Low-skilled workers in the suburban district are worse off by being close to the dense central business district. High-skilled workers gain more from the urban scale. The existence of labor mobility costs induces only high-skilled workers in the suburbs to commute to the central business district, which results in a decrease in the local contact efficiency for the left-behind low-skilled workers. The empirical evidence from a Belgian linked employer-employee dataset confirms this novel finding. [web URL: http://www.sciencedirect.com/science/article/pii/S0166046215000770]
Everybody needs good neighbors? Labor mobility costs, cities and matching
Wouter Torfs (author) / Liqiu Zhao
2015
Article (Journal)
English
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